The co-educational schools will be in Berwick in Melbourne's south-east and Wyndham Vale in the west.

The schools will cost $40 million and will take their first enrolments in 2010.

The Education Minister Bronwyn Pike says the new schools will mean more opportunities for students.

"We have two select entry schools here in Victoria, McRob and Melbourne High, these are schools with very long traditions," she said.

"Two new schools will now boost the number of places that are available to students who do satisfy the entry requirements."

Adverse affect

But the Education Union is concerned that two new schools could adversely affect surrounding schools.

The union's president Mary Bluett says the new schools will leave other local schools without their best performers.

"High performing students do not lose from being in mixed ability classes and mixed ability schools," she said.

"Who does miss out when those high achievers are taken out of the schools, are those that remain behind in the school who are often extended by the presence of those students."

Source: By Australian Broadcasting Corporation